The United States Attorney's Office for the Middle District of Pennsylvania announced that a federal grand jury in Scranton has issued an indictment charging a Tobyhanna woman with devising and carrying out a scheme to defraud the Social Security Administration of financial benefits intended for low-income individuals and families.

According to United States Attorney Peter Smith, the indictment alleges that Darlene Loveless, 50, of Tobyhanna, received a substantial inheritance in 2007 but claimed not to have any significant family resources when she was interviewed by a representative of the SSA in early 2010.Loveless allegedly continued to collect Supplemental Security Income benefits on behalf of her adopted daughter in 2010, 2011 and 2012, despite the fact that the majority of the inheritance allegedly remained in her possession during the time the benefits were being paid to her.The investigation was conducted by the Social Security Administration. Prosecution is assigned to Assistant United States Attorney Peter Hobart.If found guilty, the maximum penalty under federal law for Fraudulent Acts in relation to Supplemental Security Income is five years of imprisonment, a term of supervised release following imprisonment, and a $250,000 fine, and the maximum penalty for Theft of Government Property is 10 years of imprisonment, a term of supervised release following imprisonment, and a $250,000 fine.